Failure to Follow SMS Rules Can Be Costly!

As SMS has become an increasingly popular marketing tool, I like to remind event marketers every now and then of the importance of following best practices and industry regulations here … because failure to follow them can be very costly!

It has been a while since I have discussed this, so in this week’s post, I highlight a class-action lawsuit filed against Microsoft for allegedly sending unsolicited text messages, which is a violation of the federal Telephone Consumer Protection Act (TCPA). The case Neil Smith v. Microsoft Corporation is certainly worth understanding if you employ, or plan to use, text messaging to promote your shows.

Several weeks ago, a federal judge rejected Microsoft’s argument that a lawsuit against it should not move forward because the plaintiff did not suffer any economic injury. Specifically, Microsoft argued that the plaintiff does not have any “standing” because the plaintiff was not charged any extra fees by the carrier for the texts.

“The TCPA, by its unambiguous terms, does not limit protection to instances in which a Plaintiff is charged individually, or even incrementally, for each text message,” wrote U.S. District Judge Janis Sammartino.

Why should you care? The consequences here can be significant. Violation of the TCPA carries a potential $1,500 penalty per violation. This can add up! Read my post on the $90 million SMS lawsuit against publishing giant Simon & Schuster.

BOTTOM LINE: Follow the “rules of the road” here, and you will be able to enjoy the rewards of this powerful channel, and steer clear of big potential problems.

Posted on August 16, 2012